Ethical Decision Making in the Hospitality Industry - Essay Example

Ethics and Hospitality Industry Business ethics is defined as the norms or standards of behavior that guide moral choices about the conduct of the personnel in a business organization and the relationship with its publics. The goal of business ethics is to ensure the safety of the employees, management, and the external publics from suffering the consequences from the business activities of the particular organization. Therefore, this paper will focus on ethical decision making in the hospitality industry. Business ethics along with social responsibility defines what the organization ought to do in the management of the business. The social responsibility of any hospitality organization towards the society merits considerations in all the faces of decision making, whereby the organization must exercise strategic planning through environmental and organizational appraisal in order to provide answers to what hospitality organizations might do and what they can do (Sparrow and Hilltop, 1994). The span of business ethics is extensive and can be measured from different perspectives. In this case of hospitality industry, the respective organization’s management should ensure that several ethical considerations must be balanced for the businesses to be successful in there operations and relations with its employees and the surroundings of its business, this includes; Corporate communication; this is a process that is used to facilitate the exchange of information and knowledge of the enterprise with its internal and external publics or individuals that have a direct relationship with the organization. This practice is normally applied in the internal communications management as from the sharing of the knowledge to decision making with employees, suppliers, investors and the firms partners. The corporate communication is normally used to build the firm’s reputation among its stakeholders. This communication involves the following: change management, issue management, corporate social responsibility, crisis communication and internal relations. The objectives of corporate communications is to inform and influence other people, promote policy change, raise funds, to monitor progress and to revise plans and to leave experience documented for the future of the firm. Enterprises in hospitality industry need good internal communication systems for them to build a consistent messages and analysis of its progress, to provide accurate and timely information to those who need and to enable them develop institutional memories and experiences. (Kotler, 1976) Another ethical issue that is of prime importance to hospitality industry is the social reaction of the organizations in the industry that is the managers should create a positive work place that will have its employees engage and encouraged to attain high performances. Managers may do this by setting the right expectations from each department of the organization; they should encourage the workers into productive work by rewarding the best performance through increasing of the payments. For the firms in hospitality industry to maximize the organization’s performances the managers should have job security concerns for their employees, under which when employees will be confident of their jobs security at the workplaces. The managers’ impact on employee satisfaction is great and immeasurable. It is therefore important that managers look for convenient, cost-conscious and appreciated ways of motivation in order to build a dynamic, committed and workforce that will result in better productivity. (John, 2000) In various hospitality organizations, we find that, many employees are neglected and are most often demoralized, not motivated in performing their duties in the particular organization, therefore business managers need to find ways that will enable there employees to get frequent and significant recognition from their employers. Therefore, the managers should come up with systems to re-examine the performance of their employees in hospitality industry. These systems should include a precise communication structures that will bring understanding between the employees and the management team, under which the employees will appreciate the principles on which they are appraised thus, encouraging justice and equal opportunities in the hospitality organizations. (United Nations, 2001) The success of any hospitality organization basically depends on the employees using their full skills and knowledge in their production therefore these employees require motivation. The employee Motivation normally involves, the compensation system which is the activity of giving the employees what they really want most from work, it therefore makes the manager get his expectations from the employees, this expectations may include, production of quality goods and services. Motivation enables the employees to have their goals in the organization achieved; they will have a positive perspective on their position in the organization. Motivation also creates the influence to change and build employees self-esteem and capacity to work. The managers in the hospitality sector have the responsibility of motivating workers. When the organizational structures are experiencing changes, the managers should come up with a plan that will define the environmental factors that will be able to bring an atmosphere of integrity, honesty, and confidence to the employees. Business ethics in the hospitality industry can also be considered in the dimension of social responsiveness that is the organizations in the industry must respond to the needs of the community, therefore the respective managements of such firms should adopt processes that are meant to define the actual tactics to be utilized in achieving there goals. The appropriate process is known as the marketing mix, it carries four elements which include; Product, this is where organization’s aim will be to define the characteristics of its products that will enable the goods to meet the consumer needs, Price, which is the decision on how the company should price its products, Promotion, this is a process through which the organization should make its products known to its customers and lastly the Place, an element which is the mechanism through which the goods of an organization will be moved from the organization to its consumers. (Friedman, 1970) Public relations should be considered as another ethical issue applied in business particularly in the hospitality industry. It is the process of correcting the reputation of the organization to the targeted consumers with the current issues of the organization. This normally involves the evaluation of public and personal opinions over a particular issue, formulation of procedures related to communication between the hospitality organizations and consumers, and co-ordination of communication programs within and external the particular departments of the organizations. The use of public relations is, to enhance a positive awareness of the organizations to the public. Public relations should be applied in the hospitality firms which will lead to a sustained and a planned effort in establishing and bringing understanding between the organizations and its clientele. The other ethical factor to be considered in business is culture, which means the environment surrounding an employee at work; this is meant to shape the relationship of an employee and his work in a hospitality organization. Culture represents an employee’s personality that carries principles, attitude, fundamental interests, knowledge, and background that create a person’s behavior. Culture should particularly be inclined by the hospitality organizations management team due to the roles in decision-making and strategic direction they impose in the organizations. The managers should put in mind that culture is learned thus employees are capable of learning how to perform. (Maund, 2001) Ethical management is very crucial to any hospitality organization and therefore the management should give much attention in ensuring that the business is conducted in a fair and an objective manner. This means the needs of the community should be met while the organizational goals are achieved without much difficulty. Hospitality industry organizations should therefore emphasize on utilitarianism theory. Utilitarianism holds that, the moral worth of a practice or an action is determined solely by the practice or action of the individual. What is pleasurably happy is intrinsically good in some way. In this case, promotion of the best long term interests of the people is the moral standard of the hospitality organizations. Most people look at that other things like knowledge; beauty and power as intrinsically useful for the business growth. However, critics point out that it is difficult to quantify happiness or measure cost/benefits of their actions which may deter decision making process by firms in hospitality industry. (Dale, 2001) Read More